For training that begins after July 31, 2011, unless otherwise noted, VA will determine the amount of educational assistance payable under 38 U.S.C. chapter 33 as provided in this section.

(a) Percentage of maximum amounts payable. (1) Except as provided in paragraph (a)(2) of this section, VA will apply the applicable percentage of the maximum amounts payable under this section for pursuit of an approved program of education, in accordance with table 1 to paragraph (a).

(2) Amounts payable for individuals eligible for the Marine Gunnery Sergeant John David Fry Scholarship. VA will apply 100 percent of the maximum amounts payable for pursuit of an approved program of education by an individual who is eligible for educational assistance under § 21.9520(d).

(b) Tuition and fees payable. (1) Program of education leading to a degree at public IHLs. After July 31, 2011, VA may, on behalf of an individual, who may be either on active duty or not on active duty and pursuing a program of education leading to a degree at a public IHL, issue a lump sum payment for the term, quarter, or semester directly to the IHL equal to the applicable percentage (as listed in paragraph (a) of this section) of the net cost for in-State tuition and fees.

(2) Program of education leading to a degree at non-public IHLs or foreign IHLs. (i) After July 31, 2011, VA may, on behalf of an individual, who may be either on active duty or not on active duty and pursuing a program of education leading to a degree at a non-public or foreign IHL, issue a lump sum payment for the term, quarter, or semester directly to the IHL equal to the applicable percentage (as listed in paragraph (a) of this section) of the lesser of—

(A) The actual net cost for tuition and fees assessed by the institution; or

(B) For the academic year beginning August 1, 2011, $17,500; or

(C) For the academic year beginning on any subsequent August 1, the amount for the previous academic year, as increased under 38 U.S.C. 3015(h).

(3) Program of education in pursuit of a certificate or other non-college degree at institutions other than IHLs. On or after October 1, 2011, VA may, on behalf of an individual pursuing a program of education in pursuit of a certificate or other non-college degree at an institution other than an IHL, issue a lump sum payment for the term, quarter, or semester, directly to the educational institution equal to the applicable percentage (as listed in paragraph (a) of this section) of the lesser of—

(i) The actual net cost for in-State tuition and fees assessed by the institution; or

(ii) For the academic year beginning August 1, 2011, $17,500; or

(iii) For the academic year beginning on any subsequent August 1, the amount for the previous academic year, as increased under 38 U.S.C. 3015(h).

(4) Full-time program of apprenticeship or other on-the-job training at institutions other than IHLs. No tuition and fee amount is payable for this type of training.

(5) Program of education for flight training (regardless of the institution providing such program of education). After September 30, 2011, upon receipt of certification for training completed by the individual and serviced by the educational institution, on behalf of an individual pursuing a program of education consisting of flight training, VA may issue a lump sum payment directly to the educational institution equal to the applicable percentage (as listed in paragraph (a) of this section) of the lesser of—

(i) The actual net cost for in-State tuition and fees; or

(ii) For the academic year beginning August 1, 2011, $10,000; or

(iii) For the academic year beginning on any subsequent August 1, the amount for the previous academic year, as increased under 38 U.S.C. 3015(h).

(6) Program of education pursued exclusively by correspondence at an IHL or institution other than an IHL. After September 30, 2011, on behalf of an individual pursuing program of education by correspondence at an IHL or institution other than an IHL, VA may issue a quarterly payment on a pro rata basis for the lessons completed by the individual and serviced by the educational institution during such quarter, directly to the educational institution equal to the applicable percentage (as listed in paragraph (a) of this section) of the lesser of—

(i) The net cost for tuition and fees; or

(ii) For the academic year beginning August 1, 2011, $8,500; or

(iii) For the academic year beginning on any subsequent August 1, the amount for the previous academic year, as increased under 38 U.S.C. 3015(h).

(7) No reduction in tuition and fee annual cap. VA will not make a reduction in the tuition and fee maximum amount payable during the academic year equal to the amount of tuition and fees charged for a course or courses from which the individual withdrew when the individual—

(i) Had to discontinue the course or courses as a result of being ordered to—

(A) Active duty service under 10 U.S.C. 688,12301,12301,12301,12302,or; or

(B) A new duty location or assignment or to perform an increased amount of work; and

(ii) Did not receive credit or lost training time for any portion of the period of enrollment in the course or courses for which the eligible individual was pursuing to complete his or her approved educational, professional, or vocational objective as a result of having to discontinue pursuit.

(c) Monthly housing allowance payable. An individual who is pursuing a program of education leading to a degree at a domestic or foreign IHL, a program of education at a non-college degree institution, or an on-the-job or apprenticeship training can receive a monthly stipend (referred to as the “monthly housing allowance”), subject to the applicable percentage (as listed in paragraph (a) of this section), as follows—

(1) Residence training at domestic IHLs on more than half-time basis. An individual, other than one on active duty, who is pursuing a program of education with at least one in-residence course and who has a rate of pursuit of greater than 50 percent at an IHL located in a State, may receive a monthly housing allowance for each month (or prorated amount for a partial month) of training during each term, quarter, or semester, equal to—

(i) During the period beginning August 1, 2011, and ending July 31, 2012, the monthly amount of the basic allowance for housing payable under 37 U.S.C. 403 for a member with dependents in pay grade E-5 using the ZIP code area in which all, or a majority, of the IHL in which the individual is enrolled is located multiplied by the lesser of—

(A) 1.0; or

(B) The individual's rate of pursuit, rounded to the nearest tenth.

(ii) On or after August 1, 2012, the monthly amount of the basic allowance for housing payable under 37 U.S.C. 403 for a member with dependents in pay grade E-5 using the ZIP code or location code, whichever is applicable, in which all, or a majority, of the institution in which the individual is enrolled is located multiplied by the lesser of—

(A) 1.0; or

(B) The individual's rate of pursuit, rounded to the nearest tenth.

(2) Residence training at foreign IHLs on more than half-time basis. On or after August 1, 2011, an individual, other than one on active duty, who is pursuing a program of education leading to a degree at a foreign IHL with at least one in-residence course and who has a rate of pursuit of greater than 50 percent, may receive a monthly housing allowance for each month (or prorated amount for a partial month) of training during each term, quarter, or semester, equal to the national average of the monthly amount of the basic allowance for housing payable under 37 U.S.C. 403 for a member with dependents in pay grade E-5, multiplied by the lesser of—

(i) 1.0; or

(ii) The individual's rate of pursuit, rounded to the nearest tenth.

(3) Residence training at non-college degree institutions on more than half-time basis. After October 1, 2011, an individual, other than one on active duty, who is pursuing a program of education at a non-college degree institution (other than those listed in paragraph (c)(6) of this section) with at least one in-residence course and who has a rate of pursuit of greater than 50 percent, can receive a monthly housing allowance for each month (or a prorated amount for a partial month) of training pursued. The amount will be calculated in accordance with paragraph (c)(1) of this section.

(4) Training pursued solely via distance learning on more than half-time basis. After September 30, 2011, an individual, other than one on active duty, who is pursuing a program of education solely via distance learning at a rate of pursuit of greater than 50 percent, can receive a monthly housing allowance for each month (or prorated amount for a partial month) of training during each term, quarter, or semester, equal to 50 percent of the amount payable under paragraph (c)(2) of this section.

(5) On-the-job and apprenticeship training on full-time basis. After September 30, 2011, an individual, other than one on active duty, pursuing a full-time program of apprenticeship or other on-the-job training may receive a monthly housing allowance—

(i) During the first 6-month period of the program, the monthly amount of the basic allowance for housing payable under 37 U.S.C. 403 for a member with dependents in pay grade E-5 residing in the military housing area that encompasses all or a majority portion of the ZIP code area in which the employer is located.

(ii) During the second 6-month period of the program, 80 percent of the amount payable in paragraph (c)(5)(i) of this section.

(iii) During the third 6-month period of the program, 60 percent of the amount payable in paragraph (c)(5)(i) of this section.

(iv) During the fourth 6-month period of the program, 40 percent of the amount payable in paragraph (c)(5)(i) of this section.

(v) During any month after the first 24 months of training, 20 percent of the amount payable in paragraph (c)(5)(i) of this section.

(vi) In any month in which an individual pursuing training fails to complete 120 hours of training, the amount of the monthly housing stipend payable will be the amount determined by multiplying the applicable amount as determined by paragraphs (c)(5)(i) through (v) of this section by the figure determined as follows—

(A) The number of hours worked during the month, rounded to the nearest 8 hours; then

(B) Dividing the result by 120.

(C) Rounding the quotient to the nearest hundred.

(6) Program of education for vocational flight training at institutions other than IHLs; Program of education pursued exclusively by correspondence; Program of education pursued on a half-time basis or less; Program of education pursued while on active duty. No monthly housing allowance is payable for these types of training.

(7) Rate payable during the academic year. The monthly housing allowance payable during each academic year beginning on August 1 of a calendar year under paragraphs (c)(1) through (5) of this section will be determined using the basic allowance for housing rates payable under 37 U.S.C. 403 in effect as of January 1 of each such calendar year.

(8) Rate protection. The monthly housing allowance payable under paragraphs (c)(1) through (5) of this section will not decrease as long as the individual—

(i) Has not had a break in training that exceeds 6 months. An individual called to active duty (during an enrollment period or 6-month grace period) will not see a decrease as long as the individual resumes training at the educational institution within 6 months from the release from active duty; and

(ii) Previously received the monthly housing allowance based on the same type of training (residence, distance, foreign) at the same educational institution. A change in facility (transferring to a different school or a different branch of the same school) constitutes a change in educational institution.

(9) Concurrent eligibility for more than one monthly housing stipend rate. In the event that an individual is concurrently eligible for more than one monthly housing stipend rate, the housing stipend will be paid at the highest rate for which the individual qualifies.

(d) Books, supplies, and equipment stipend payable. An individual who is pursuing a program of education at an IHL, non-college degree institution, or an individual pursuing on-the-job or apprenticeship training can receive an amount for books, supplies, equipment, and other educational costs (referred to as the “book stipend”), subject to the applicable percentage (as listed in paragraph (a) of this section), as follows—

(1) Book stipend for training pursued at an IHL. (i) The maximum amount payable to an individual pursuing training at an IHL is based on pursuit of twenty-four credit hours (the minimum number of credit hours generally considered to be full-time training at the undergraduate level for an academic year). The lump sum payment for each term, quarter, or semester is equal to $41.67 ($1,000 divided by 24 credit hours) multiplied by the number of credit hours (or the equivalent number of credit hours if enrollment is reported in clock hours) taken by the individual in the quarter, semester, or term, up to a cumulative total of twenty-four credit hours for the academic year.

(A) Before October 1, 2011, an eligible individual, other than one on active duty, may receive an amount for each credit hour pursued up to twenty-four credit hours (or the equivalent credit hours if enrollment is reported in clock hours) in a single academic year.

(B) On or after October 1, 2011, an eligible individual, including an individual on active duty, may receive an amount for each credit hour pursued up to twenty-four credit hours (or the equivalent credit hours if enrollment is reported in clock hours) in a single academic year.

(ii) In no event may the amount paid during an academic year exceed $1,000.

(2) Book stipend for training pursued at a non-college-degree institution and on-the-job or apprenticeship training. After September 30, 2011, an individual pursuing a program of education at a non-college degree institution (other than those listed in paragraph (d)(3) of this section) or full-time on-the-job or apprenticeship training can receive a lump sum payment equal to $83 for each month (or a prorated amount for a partial month) of training pursued.

(3) Program of education for vocational flight training at institutions other than IHLs and program of education pursued exclusively by correspondence. No book stipend is payable for these types of training.

(e) Publication of educational assistance rates. VA will publish the maximum amount of tuition and fees payable each academic year in the “Notices” section of the Federal Register and on the GI Bill website at https://www.GIBill.va.gov.

(f)(1) Paragraph (a) of this section issued under the authority of 38 U.S.C. 3311(f);

(2) Paragraph (b)(1) of this section issued under the authority of 38 U.S.C. 3313(c)(1)(A)(i);

(3) Paragraph (b)(2) of this section issued under the authority of 38 U.S.C. 3313(c)(1)(A)(ii);

(4) Paragraph (b)(3) of this section issued under the authority of 38 U.S.C. 3313(g)(3)(A);

(5) Paragraph (b)(4) of this section issued under the authority of 38 U.S.C. 3313(g)(3)(B);

(6) Paragraph (b)(5) of this section issued under the authority of 38 U.S.C. 3313(g)(3)(C);

(7) Paragraph (b)(6) of this section issued under the authority of 38 U.S.C. 3313(g)(3)(D);

(8) Paragraph (b)(7) of this section issued under the authority of 38 U.S.C. 501(a), 3323(c);

(9) Paragraph (c)(1) of this section issued under the authority of 38 U.S.C. 3313(c)(1)(B)(i);

(10) Paragraph (c)(2) of this section issued under the authority of 38 U.S.C. 3313(c)(1)(B)(ii);

(11) Paragraph (c)(3) of this section issued under the authority of 38 U.S.C. 3313(g)(3)(A)(ii);

(12) Paragraph (c)(4) of this section issued under the authority of 38 U.S.C. 3313(c)(1)(B)(iii);

(13) Paragraph (c)(5) of this section issued under the authority of 38 U.S.C. 3313(g)(3)(B)(i);

(14) Paragraph (c)(6) of this section issued under the authority of 38 U.S.C. 3313(e), (f), (g)(3)(C), (g)(3)(D);

(15) Paragraph (c)(7) of this section issued under the authority of 38 U.S.C. 3313(i);

(16) Paragraphs (c)(8) and (c)(9) of this section issued under the authority of 38 U.S.C. 501(a), 3323(c);

(17) Paragraphs (d)(1) and (d)(2) of this section issued under the authority of 38 U.S.C. 3313(g)(3)(A), (B);

(18) Paragraph (d)(3) of this section issued under the authority of 38 U.S.C. 3313(c),(e),(f),(g)); and

(19) Paragraph (e) of this section issued under the authority of 38 U.S.C. 3313,3323.

(The Office of Management and Budget has approved the information collection provisions in paragraphs (a) through (b)(7) of this section under control numbers 2900-0154, 2900-0178, 2900-0162, 2900-0353, and 2900-0576) [90 FR 5344, Jan. 16, 2025]